Trump stalls bipartisan housing bill as CBDC ban hangs in balance

Trump has postponed signing a housing bill that passed Congress with 358 House votes and 85 Senate votes, leaving a provision that would block a Federal Reserve-issued CBDC until 2030 in limbo.

According to a July 24 Truth Social post from U.S. President Donald Trump, he has canceled plans to sign the 21st Century ROAD to Housing Act and will instead wait for Congress to advance the SAVE AMERICA Act, which he described as a national emergency.

Passed with overwhelming bipartisan support earlier this week, the housing legislation cleared the House of Representatives by a 358-32 vote after receiving Senate approval in an 85-5 vote. 

While the bill focuses primarily on housing affordability, homeownership access, housing supply, and regulatory reforms, it also contains language that would prohibit the Federal Reserve from creating or issuing a central bank digital currency through 2030.

The CBDC provision aligns with the administration’s existing stance on a federal digital dollar. Earlier this year, Trump signed an executive order directing federal agencies not to establish, issue, or promote a CBDC unless required by law. Treasury Secretary Scott Bessent later stated that a U.S. CBDC was “off the table” under the administration while urging lawmakers to advance digital asset legislation such as the CLARITY Act.

The CBDC restriction remains tied to the housing package

Embedded within the housing bill is a carveout that distinguishes private stablecoins from a government-issued digital dollar. As previously reported by crypto.news, the language targets only a Federal Reserve-issued CBDC and does not prohibit privately issued dollar-backed stablecoins that meet the bill’s conditions.

Federal Reserve efforts have remained at the research stage rather than moving toward implementation. Earlier crypto.news reporting noted that no digital dollar program has been launched, despite years of study and policy discussions surrounding the concept.

Outside the United States, central bank digital currency development has continued along different paths. The European Central Bank has maintained work on a digital euro, while China has continued expanding its digital yuan initiative.

Procedurally, the housing bill could still become law if Trump chooses not to act within the required timeframe. Alternatively, Congress could attempt to override a presidential veto, although the next steps depend on House Speaker Mike Johnson formally presenting the legislation to the president.

Citing conversations with Republican leaders, Punchbowl News reported that Trump wants to see movement on a reconciliation package containing the SAVE AMERICA Act before signing the housing bill. The same report noted that Senate Republican leadership currently lacks the 50 votes needed to pass that legislation.

Senate negotiations add pressure to the crypto timetable

Democratic lawmakers have sharply criticized Trump’s decision to delay action on the bill. Senator Elizabeth Warren argued that the move undermines efforts to reduce housing costs, stating that the president’s policies have increased expenses for Americans and that he is refusing to sign legislation designed to address the problem.

Senator Andy Kim similarly accused Trump of holding the measure hostage and argued that the delay demonstrates a lack of concern for American households.

At the same time, congressional negotiations over digital asset legislation remain active. Democrats have continued pushing for ethics-related provisions in the CLARITY Act because of Trump’s involvement in crypto-related ventures. White House crypto adviser Patrick Witt has participated in discussions surrounding those provisions.

With the Senate already working under a tight legislative calendar, lawmakers now face overlapping debates on housing policy, reconciliation legislation, and crypto regulation. Senator Cynthia Lummis recently indicated that the final text of the CLARITY Act could be released around the July 4 recess, although the timeline remains dependent on ongoing negotiations.